iOS 7 coming September 18 – Apple Senior Vice President of Software Engineering Craig Federighi speaks about iOS 7, the next version of Apple's mobile operating system. A complete overhaul of the system that runs iPhones and iPads, iOS 7 will be available September 18.

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Highlights from Tuesday's Apple event9 photos

iOS 7's new look – The new iPhones will come loaded with iOS 7, which will also be available in a wireless update for users of older iPhones. The new system replaces the textures and shiny icons of iOS 6 in favor of a brighter look with more muted colors.

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Highlights from Tuesday's Apple event9 photos

The $99 iPhone 5C – Apple Senior Vice President of Worldwide Marketing Phil Schiller speaks about the new iPhone 5C -- a cheaper, $99 model that will have a plastic case instead of aluminum.

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Highlights from Tuesday's Apple event9 photos

The many colors of iPhone 5C – Unlike current iPhones, the new iPhone 5C will come in bright colors such as pink, green and yellow. It also features a 4-inch high-res display and an 8 megapixel camera, plus a snappy A6 processing chip.

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Highlights from Tuesday's Apple event9 photos

iPhone 5S – The new iPhone 5S, the successor to the current iPhone 5, will come in silver, gray and champagne gold. Prices start at $199 for the 16GB model (with a two-year contract), and go up to $399 for the 64GB.

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Highlights from Tuesday's Apple event9 photos

Touch ID sensor – Phil Schiller talks about the new fingerprint sensor on the iPhone 5S's Home button. Called Touch ID, the system uses a sapphire crystal and capacitive touch sensor to take a high-resolution image of your fingerprint and match it with prints in its database, offering extra security if your phone falls in the wrong hands.

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Highlights from Tuesday's Apple event9 photos

... but no surprises – Everything Apple announced Tuesday had pretty much been expected for weeks by tech analysts. There was no "one more thing": no smartwatch, no TV set, no other new gadget. Fans hoping for a bold leap forward from Apple may have been disappointed.

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... except maybe Elvis – Rocker Elvis Costello, who played a few songs at the event, examines a new iPhone as Tim Cook looks on.

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Story highlights

Apple rolls out two new iPhones Tuesday

The iPhone 5S is an upgrade to current model

The iPhone 5C will be less expensive and come in bright colors

Both phones will go on sale September 20

For the first time ever, Apple unveiled two new iPhones on Tuesday, a traditional upgrade of its iPhone 5 as well as a simpler, cheaper version.

Apple CEO Tim Cook said the iPhone 5S and iPhone 5C are a reaction to a changing smartphone market.

"Business has become so large that this year we are going to replace the iPhone 5 and we're going to replace it with not one, but two new designs," Cook said. "This allows us to serve even more customers."

The iPhone 5C was the first phone demoed at Tuesday's event at Apple's Cupertino, California, headquarters.

"It has an incredible all new design, one that's more fun, more colorful than any iPhone we've made yet," said Phil Schiller, Apple's senior vice president for marketing. In a video, Apple design guru Jonny Ive described the 5C as "beautifully, unapologetically plastic."

Check out Apple's new iPhone 5C

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iPhone 5S has fingerprint technology

The phone will sell for as little as $99, for a 16GB version, and $199 for one with 32GB of storage (each with a two-year mobile contract). In a departure, Apple will also be making its own cases for the 5C, selling them in a variety of colors for $29.

Then there's the iPhone 5S, which is the more traditional update to the iPhone 5.

The 5S features a handful of performance upgrades, including what Apple calls a dramatic increase in processing speed.

It will have the first 64-bit chip in a smartphone -- Apple's A7 -- which Schiller said has tested at up to twice as fast as the iPhone 5's processor. It also will have a new feature, a motion co-processor, that will let the phone be used as a fitness tracker along the lines of a FitBit.

Schiller said battery life will be "the same or better" than the iPhone 5 and its camera will have 15% more active sensor space, improved white balance and auto-focus, and a new flash.

Also, its camera will, for the first time on iPhone, allow video in slow motion.

Arguably the most dramatic new feature on the phone, though, is Touch ID, a fingerprint scanner for added security. Users will be able to log into their phone via the home button and make purchases from iTunes using their fingerprint as a password of sorts.

The iPhone 5S will sell for $199 for a 16GB version, $299 for a 32GB model and $399 for the top-end 64GB phone.

Pre-orders for the iPhone 5C starts on September 13. Both versions are on sale starting September 20. Cook also announced the newest version of Apple's mobile operating system, iOS 7, will be released to the public on September 18.

It will have over 200 new features, according to Apple, including the ability to switch voice-activated digital assistant Siri to a male voice.

The iPhone has remained the world's top-selling smartphone, save for a few quarters when it was dethroned by phones in Samsung's Galaxy S line. But after making up nearly 24% of all smartphones sold in late 2011, Apple's device is now down to about 14%, while Android phones account for a whopping 79%.

With the iPhone 5C, Apple is clearly looking to emerging markets like China and India, where a less expensive phone would, presumably, sell well to a massive potential customer base.

Historically, rollouts of new Apple products have been near-mystical affairs for fans. But as the smartphone market has matured, some analysts say the real excitement may need to come from other products.

"Apple needs a new 'hero product,' but I do not think it necessarily has to be a phone," Gartner technology analyst Carolina Milanesi told CNN. "With technology innovation slowing down, maybe they are better off turning iPhone into a market-share grabber and showing innovation in another product."

A likely candidate could be the company's anticipated "iWatch." Apple is all but certain to join the emerging smartwatch market that Samsung entered last week with its Galaxy Gear device.